Nevada Strategic Growth Initiative aims to diversify the state economy through collaboration
Thursday, October 10th 2024
A new nonprofit entity designed specifically to diversify Nevada’s gaming and tourism-dependent economy was set in motion recently by Gov. Joe Lombardo and the Governor’s Office of Economic Development.
The privately funded Nevada Strategic Growth Initiative will collaborate with myriad development agencies, chambers of commerce and other state and local leadership to work toward creating jobs, helping existing businesses grow, recruiting new businesses to operate in Nevada and stimulating entrepreneurship, according to the governor and other officials.
Lombardo said in an August 26 announcement the new 501(c)(6) organization is “dedicated to a shared vision of helping improve the quality of life for all Nevadans through the creation of new high-paying jobs in industries that align with our resources, workforce and future.”
The group’s board of directors is an impressive collection of notable businesspeople, some of which have helped shaped the economy in Southern Nevada.
Leading the Nevada Strategic Growth Initiative is board chair Matt Maddox, a longtime gaming executive and the former CEO of Wynn Resorts. Also serving on the board: Peter Guzman, president of the Latin Chamber of Commerce; Danny Thompson, executive secretary-treasurer of the Nevada state American Federation of Labor and Congress of Industrial Organizations (AFL-CIO); longtime marketing leader and philanthropist Staci Alonso, formerly a member of the Nevada State Athletic Commission and an executive at Station Casinos; and Shirley Folkins-Roberts, community development director at Panattoni Development Company.
“Governor Lombardo has declared Nevada open for business, and in his first year in office, Nevada was ranked No. 1 in job growth and saw more than $5 billion in new economic development,” Guzman said in the announcement. “Nevada is a premier place to start or relocate a business and the Nevada Strategic Growth Initiative will play an important role aligning Nevada’s resources and advantages with companies ready to grow with our state.”
Diversifying the business landscape—particularly in Southern Nevada, where Las Vegas tourism has always been and likely will always be the state’s primary economic engine—continues to be an elusive priority despite collaborative efforts. And officials at the Governor’s Office of Economic Development (GOED) believe Nevada leaders need to work together at a higher level in order to inch closer to that ultimate goal.
In March, GOED unveiled a study by UNLV’s Brookings Mountain West, Center for Business and Economic Research and Transportation Research Center that found that state economic development is siloed across jurisdictions. Unlike in neighboring regional metropolitan centers, Southern Nevada lacks a governance structure to facilitate the planning and coordination needed to realize regional economic and infrastructure priorities.
The study also found that gaps in job creation, labor productivity and wages have persisted due to Southern Nevada’s continued overconcentration of employment in low-wage and low-productivity occupations.
The new initiative’s stated objectives in working with the governor and existing organizations and municipalities include creating and advancing strategically impactful opportunities that create good jobs and economic growth, and working with policymakers to create a stronger workforce and environment to welcome investment.
As the regional development authority for Southern Nevada, the Las Vegas Global Economic Alliance similarly functions behind collaboration with multiple public and private sector partners, said president and CEO Tina Quigley.
“Together, we build strategic and sustainable solutions that deliver outstanding benefits to our residents,” Quigley said via email. “Through innovation and collaboration, we are supportive of the opportunity to accelerate global understanding of the Las Vegas Valley as an ideal place for companies looking to launch, relocate, or expand their business.”
SMALL BUSINESS BOOST
On September 10, the Nevada Governor’s Office of Economic Development was awarded more than $4 million aimed at assisting small businesses through the State Small Business Credit Initiative (SSBCI) Investing in America Small Business Opportunity Program. The national program connects underserved and small businesses to financing needed to participate in essential supply chains and boost development in key economic sectors including electric vehicle and semiconductor manufacturing, construction, transportation, clean energy and others.
U.S. Rep. Dina Titus, D-Nev., said providing additional funding for clean energy companies will allow this crucial industry to expand and solidify the future economy across Nevada.
“Already 10,000 jobs have been created producing clean energy in Nevada and another 40,000 jobs are expected in the next 10 years,” she said. “Investing in these businesses now means more opportunity and better-paying jobs for Nevadans in the future.”
SSBCI program manager and GOED senior director of strategic programs and innovation Karsten Heise said the funding will also empower state programs that provide technical assistance for health care businesses and work to expand a tribal entrepreneurial development program.
The American Rescue Plan Act passed by President Joe Biden expanded SSBCI, which provides nearly $10 billion to support small businesses and empower them to access capital needed to invest in job-creating opportunities.